The United Kingdom has long been a top destination for international students seeking world-class education and cultural diversity.
However, an alarming trend is casting a shadow over the allure of British universities: a growing number of international students are finding themselves homeless or in precarious housing situations.
Soaring rental costs, limited availability of affordable accommodation, and administrative hurdles have exacerbated the housing crisis for these students, many of whom arrive with high hopes but limited financial support.
Often juggling part-time jobs, hefty tuition fees, and cultural adjustments, international students are particularly vulnerable to exploitation and housing insecurity.
Addressing this crisis requires a collective effort from universities, landlords, and policymakers to ensure that international students are provided with the support and stability they need to thrive. This issue also impacts students' academic performance and mental health.
Under revised regulations, students planning to study in London must show £1,483 in monthly savings, up from £1,334. For those outside London, the monthly requirement rises to £1,136 from £1,023.
The National Union of Students (NUS) surveyed over 1,100 international students, revealing that 29% have experienced homelessness while studying in the UK, more than twice the rate of home students.
The survey also found that 70% of international students work alongside their studies, with three-fifths wanting the 20-hour work limit lifted to improve financial support and career opportunities.
Two-thirds reported higher housing costs, with over a third struggling to pay rent or bills. The cost-of-living crisis is affecting 63% of students' income, and 51% have seen a significant impact on the income of their financial supporters.
It also revealed significant challenges in the housing system for students and apprentices. Over a quarter (26%) struggled to pay their rent in full, and more than a third (36%) found securing a guarantor stressful.
The research also showed that 60% of student renters needed a guarantor, with 40% facing difficulties in securing one. This issue was particularly prominent among international and low-income students, who often lack the financial support available to others.
Students struggling with scams and financial gaps
Sanam Arora, Founder and Chairperson of the National Indian Students and Alumni Union UK (NISAU), identified several key factors contributing to the risk of homelessness among international students. She said, “One major issue is the delay in securing accommodation, with many students waiting until their university offer is confirmed before starting their search. This often leads to limited options, pushing students into desperation, where they may sign up for unsuitable accommodations or fall victim to scams. Students should begin their housing search at least a month in advance to avoid these risks.
“Another significant problem is students falling prey to scams. Some students rent properties from private landlords they meet through informal channels like WhatsApp, only to discover the accommodation doesn’t exist or is misrepresented. These cases are becoming increasingly common due to a lack of due diligence. Lastly, economic challenges also contribute to housing issues. While students may show sufficient funds on paper to meet visa requirements, many struggle financially once in the UK. Agents may promise job opportunities that don’t materialise, leaving students unable to afford rent and at risk of homelessness. These issues are often exacerbated by poor planning and a misunderstanding of financial requirements, she added.
Speaking about accommodation playing a role in maintaining mental health and academic success for students, Sanam said, “When you're facing any form of distress, it inevitably affects your well-being, state of mind, and academic performance. For international students, housing is often the biggest concern upon arriving in a new country. If students are struggling with accommodation issues, it can severely impact their studies and mental peace. Beyond academics, securing stable housing is a top priority, and when that’s in jeopardy, it can take a significant toll on their overall well-being.”
Cost of living has increased over past four years
Founder & Chairman of SEVA Trust UK, Charan Sekhon MBE stated, “International students in the UK are facing increasingly challenging times, highlighting a significant and growing problem. The situation was dire during and immediately after Covid-19, and while the current government is taking steps to stabilise matters, many students continue to struggle. The cost of living has risen sharply over the past four years, compounded by soaring rental prices.”
“A key challenge is the difficulty in securing part-time work—a lifeline for many students who rely on these jobs to cover daily expenses. Post-Covid job losses have made finding such work even harder, exacerbating the financial strain on international students and leaving many in precarious situations,” he added.
Speaking about policy level to protect international students, Charan said, “The policy for international students is clear: when applying for a visa, they must show sufficient funds to cover tuition, rent, and living expenses when applying for a visa. However, the funds often shown for visa purposes may not be available long-term, underscoring the need for thorough financial planning.
While many students rely on part-time jobs, the unpredictable job market makes having a backup plan essential. Unfortunately, many students arrive without one, leaving them vulnerable. Although safeguards are in place, universities must do more to support students facing unexpected challenges, like job losses or health issues. Expanding hardship funds and emergency support is crucial, especially given rising living costs. Universities should prioritise financial distress cases, recognising the significant contributions international students make. A collaborative effort from students, families, universities, and organisations is necessary to create a more supportive environment,” he added.
A spokesperson from Evolve Housing + Support underscored the rising crisis of youth homelessness, “With an estimated 136,000 young people homeless in 2023—a number that charities fear could increase in 2024. Homelessness is particularly dangerous for young people, exposing them to risks of violence, exploitation, and lasting mental health challenges. Many have been in care, experienced family breakdowns, or endured abuse, leaving them with nowhere to turn. The situation is worsened by financial barriers. Young people face lower wages and reduced Universal Credit allowances, making it harder to secure housing. Many also report discrimination from landlords, further limiting their options for safe and stable accommodation.”
International students are integral part of our community
Addressing the South Asian community in the UK about homelessness among international students, CEO of Khalsa Aid, Ravi Singh emphasised the need for fairness and compassion: “When international students come to the UK, they bring hopes for a brighter future, much like our parents and elders once did. It’s crucial to treat them with respect and fairness. Unfortunately, while many are supportive, a significant number exploit these students through unfair work conditions or excessive rental practices. These young individuals are not outsiders—they are part of our community, and we must stop taking advantage of them.
Landlords should offer fair rental terms, prioritising student well-being over profit. Exploitation leaves many struggling, with homelessness often resulting from inadequate preparation and lack of community support—a shared responsibility that demands action. Community initiatives, like tea mornings at Gurdwaras, provide safe spaces for students to connect, share experiences, and build support networks. Such efforts foster friendships, encourage collaboration, and often help students find better housing solutions. By working together, we can create a supportive and welcoming environment for these students.”
Saranya Thambirajah, NUS Vice President for Liberation and Equality, highlighted gaps in the Renters’ Rights Bill, “The bill is a strong start, but with further regulation, it could be significantly improved. Current landlord practices, like requiring UK-based homeowners as guarantors or demanding rent upfront, are not addressed and disproportionately affect students from deprived backgrounds, care leavers, estranged students, and international students. International students are often asked for up to 12 months’ rent in advance, leaving many in debt or temporarily homeless, with some forced to live in hostels. These exploitative practices are predatory and discriminatory, and we urge the government to legislate against them as part of the RRB.” (Refer to page 13)
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UK sees 20% drop in Indian student applications
UK universities are experiencing financial pressure as a sharp decline in international student numbers starts to impact their budgets.
A report from the Office for Students (OfS) stated that applications from Indian students fell by 20.4% in the 2023-24 academic year compared to the previous year.
It also highlighted a sharp decline in the number of Confirmation of Acceptance for Studies (CAS) issued to Indian students, dropping from 139,914 to 111,329. This decline is concerning, as Indian students, who recently surpassed Chinese applicants, have become a key source of revenue for UK universities.
A range of factors is discouraging Indian students from applying to UK universities which includes restrictions on bringing dependents, limited job prospects, and heightened safety concerns, especially in the wake of anti-immigration riots in certain cities.
Sanam Arora highlighted factors behind the 20% decline in Indian students coming to the UK. She said, “First, the Conservative government’s decision to restrict dependent visas has deterred many postgraduate students who would typically bring partners or children. Second, the uncertainty surrounding the graduate route, or post-study work visa, fueled fears in India, compounded by years of policy changes.”
Despite these setbacks, Sanam praised the new Labour government for affirming the graduate route’s stability for the next five years, providing much-needed clarity. However, she also emphasised the need for better communication in India to address misinformation and for UK universities to invest more in career services, as only 3% of international graduates find jobs through university support. Indian students contribute significantly to the UK economy, with an estimated £20 billion annually, meaning the decline could result in a loss of billions for the UK.
